dollar holdings: Some Tokyo-based strategists expect a repeat in 2020. ; The case for a stronger yen is backed by a seasonal pattern that sees the greenback typically weaken at the start of the year, as global investors sell their dollar holdings to make fresh investments overseas, according to Credit Agricole CIB. The investment bank expects the dollar to also be pressured by the unwinding of positions by Chinese market participants ahead of the Lunar New Year holidays, according to The Japan Times. The dollar has gained against the yen only once since 2014 in January, said Yuji Saito, executive director of Credit Agricole's foreign exchange department in Tokyo. January has typically proved to be a favorable month for Japan's currency, bringing gains against the dollar in seven of the last 10 years. Considering this, traders may want to sell the dollar around the end of the year or early next year. Demand has been sapped by improving U.S.-China trade relations, signs of a revival in global manufacturing and a decisive U.K. election result. Bolstering predictions for a rebound, the yen has been sold off in the lead-up to the end of 2019.
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